The cheap car you can afford to run

Written By Unknown on Selasa, 24 Juni 2014 | 20.01

Cheap and also affordable ... the Suzuki Alto. Source: Supplied

ONE of Australia's cheapest cars is also the most affordable to own and operate — even though it must use premium unleaded petrol which can cost up to 20 cents a litre more than regular fuel.

The Suzuki Alto hatchback, which starts from just $11,990, has topped the Australian Automobile Association's annual "running costs" survey for the third year in a row.

According to the data which takes into account the purchase price, interest on loan repayments, registration, insurance, fuel consumption, servicing costs, and depreciation, the Suzuki Alto costs just $6237 a year to run, or $120 per week.

By comparison, the most expensive vehicles to own and operate in the survey of more than 100 of Australia's top-selling cars were the Nissan Patrol and Toyota LandCruiser heavy-duty four-wheel-drives, which cost more than $21,000 a year to keep on the road, or more than $400 a week.

The Suzuki Alto might be a bargain hunter's dream but the car is dearer in some states compared to others.

The Suzuki Alto with automatic transmission — which accounts for more than four out of every five cars sold — costs $13,990 drive-away in Queensland but is currently $12,990 drive-away in every other state and territory.

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Attractive price ... the Suzuki Alto starts from under $12,000. Source: Supplied

There is a $1000 price difference even though the cars come from the same factory because Suzuki cars are sold through an independent distributor in Queensland, while the other states are represented by a subsidiary of the Japanese parent company.

There is nothing stopping Queensland car buyers crossing the border to get the better deal.

However, when asked why Queenslanders should pay more for the same car, a statement from the distributor, Mayfairs Wholesale, said: "Different distributors and retailers of the same brands, often offer marketing specials, purchase price incentives and a myriad of other variations which can make any product less expensive or more expensive in different areas, at any given time."

Suzuki also topped the Light Car class with the Swift hatchback ($7030 per year or $135 per week to run) ahead of the other top-sellers, the Hyundai i20 ($7092 per year or $136 per week), Toyota Yaris ($7280 per year or $140 per week) or Mazda2 ($7549 per year or $145 per week).

The Holden Cruze Equipe ($8459 per year or $162 per week) scored an unexpected win in the small car class, rated as cheaper to own and operate than Australia's top-selling car the Mazda3 ($8632 per year or $166 per week).

Last year's top-seller, the Toyota Corolla, ranked eighth in the small-car category ($8788 per year or $169 per week) behind the Volkswagen Golf ($8774 per year or $168 per week).

Anyone considering a hybrid car to save money may want to think again. The Toyota Prius hybrid cost a staggering $10,216 per year or $196 per week to own and operate, while Honda Civic hybrid was dearer still, at $10,733 per year or $206 per week.

Popular ... the Toyota Corolla ZR sedan. Source: Supplied

The Toyota Camry may be Australia's top-selling medium-size car for the past 20 years, but it costs more to run ($11,544 per year or $222 per week) than the Volkswagen Jetta ($9798 per year or $188 per week).

In other upsets, the Holden Commodore 3.0-litre V6 ($12,453 per year or $239 per week) was cheaper to own and operate than the four-cylinder Ford Falcon ($12,848 per year or $247 per week) because the Ford was hit hard by a bigger depreciation cost and is dearer to buy.

The figures show that, as a general rule, the less money you spend on a car the less money you lose.

An upset to Ford ... the Holden Commodore SV6 Storm. Source: News Corp Australia

Smaller cars are also more affordable, more fuel efficient and cheaper to service because parts don't wear out as quickly. But that advice is of little help to families who need a big car.

The new Honda Odyssey topped the people mover category ($11,764 per year or $226 per week) while the Toyota Tarago flunked as the dearest in its class ($14,091 per year or $270 per week).

The Holden Captiva 7 diesel was the cheapest of the family-sized SUVs to own and operate ($11,873 per year or $228 per week) while the Ford Territory diesel was among the dearest ($12,965 per year or $249 per week).

This reporter is on Twitter: @JoshuaDowling


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